About Stratus Building Solutions of Westchester and Putnam Counties Franchise
Stratus Building Solutions of Westchester and Putnam Counties is a regional commercial cleaning franchise serving businesses throughout these two New York counties.
Operating under the Diversified Royalty Corp.
parent, the brand brings the Stratus Building Solutions model of green cleaning and customized janitorial services to a market rich with corporate offices, healthcare facilities, and retail properties.
Stratus Building Solutions of Westchester and Putnam Counties Franchise Cost & Fees
Minimum Investment
$5K
Average Investment
$42K
Maximum Investment
$80K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $3,600 to $69,000 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Billings for the preceding calendar month or $50, whichever is greater. of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of Gross Billings for the preceding calendar month. No fee is currently imposed. | National brand fund |
| Total Investment Range | $4,725 – $79,750 | Includes build-out, inventory, working capital |
The investment range of $5K–$80K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Billings for the preceding calendar month or $50, whichever is greater.) and marketing fee (1% of Gross Billings for the preceding calendar month. No fee is currently imposed.) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee (1) | $3,600 | $69,000 |
| Brand Certification Program Expenses (2) | $0 | $500 |
| Professional Costs (3) | $150 | $2,000 |
| Real Estate (4) | $0 | $750 |
| Vehicle (5) | $0 | $500 |
| Insurance (6) | $100 | $2,500 |
| Equipment & Supply Starter Package (7) | $650 | $2,000 |
| Business Licenses (8) | $75 | $500 |
| Additional Funds (4 months) (9) | $150 | $2,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 5% of yearly Gross Billings of Customer Contracts being sold/transferred with a minimum fee of $750. 10% of sales price if transfer 10% or more of ownership in Franchisee. |
| Renewal Fee | No payment of an additional franchise fee or renewal fee will be required. |
| Administration Fee | 10% of Gross Billings for the preceding calendar month. |
| Business Protection Program (Optional) | 5% of Gross Billings for the preceding calendar month. |
| Insurance Administrative Fee | Up to $40 per month |
| Additional Customer Contracts – Account Acquisition Fee | $ (additional monthly billing provided by the new Customer Contract) - $ (monthly owed by you to Stratus) x (3 or 4 or 5) = Account Acquisition Fee. |
| Name Changes - Additions/Deletions | Flat fee of $250. |
| Customer Contract Transfer Fee | $50 administration fee, plus the greater of $100 or 10% of prior month’s billings under Customer Contract. |
| Customer Requested Troubled Transfer Fee | $50 administration and $75 complaint fee, plus the greater of $100 or 10% of prior month’s billings under Customer Contract. |
| Account Abandonment Fee | Loss of all revenue owed, plus Customer Requested Troubled Transfer fee. See Item 7. |
| Complaint Fees | $75 for the second or more complaints to us within 120 calendar days |
| Failure to Service Fee | Greater of $75 or 10% of prior month’s billings under Customer Contract. |
| Service Fee | $50 per hour for every hour we spend fixing issues at the Franchisee’s customer site. $50 fee for not turning in monthly statement by the 10th of the following month. $25 fee per Customer evaluation not completed and turned in by the 10th of the following month. |
| Account Cancellation for Cause Fee | $50 administrative fee and $75 complaint fee, plus 50% of one month’s Gross Billings on the first Customer Contract lost; 75% of one month’s Gross Billings for the second Customer Contract lost; and one full month’s Gross Billings for every Customer Contract lost thereafter in a 12-month period of time. |
| Isolated (Special) Services Fee | 10% of the price for the services stated in the contract. |
| Re-Certification Fee | $75 per class |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 8 hours of classroom training and 6.5 hours of on-the-job training. |
| Classroom Training | 8 |
| On-the-Job Training | 6.5 |
| Training Location | Stratus of Westchester and Putnam Counties’s office or at one of its existing customer's buildings within commuting distance of your residence. |
| Additional Training | Group seminars are available from time-to-time at the franchisor's sole discretion and may be mandatory. Additional training courses may be offered or required for franchisees and their Operating Principals/trained employees at designated times and locations. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Description | Franchisees will conduct business within a designated Territory but will not receive an exclusive territory. Stratus of Westchester and Putnam Counties may sell numerous Stratus janitorial franchises and establish company-owned outlets in the same Territory, leading to competition. The franchisor and SBS Franchising reserve the right to use various channels of distribution (Internet, catalog, telemarketing, direct marketing) within the Territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 12 years |
| Renewal Term | 12 years |
| Renewal Fee | No payment of an additional franchise fee or renewal fee will be required. |
| Renewal Conditions | To renew, franchisees must provide written notice of intent to renew 180-60 days prior to expiration, sign a new franchise agreement 30 days prior to expiration (which may have materially different terms), not be in default, and update all equipment and supplies to then-current system standards. |
| Transfer Fee | 5% of yearly Gross Billings of Customer Contracts being sold/transferred with a minimum fee of $750. 10% of sales price if transfer 10% or more of ownership in Franchisee. No fee if transferred to an immediate family member or wholly-owned company. |
| Transfer Conditions | Transfers require franchisor's written consent (not unreasonably withheld), new franchisee qualification, Brand Certification Program completion by buyer, payment of transfer fee, and execution of a general release and new Unit Franchise Agreement by the transferee. The franchisor may withhold consent if the franchisee is in default. |
| Termination for Cause | Termination by franchisor can occur for defaults such as failure to perform obligations, breach of agreements, discontinuance of a Customer Contract without consent, attempt to assign without consent, insolvency, bankruptcy, abandonment of business, abusive behavior, felony conviction, or theft. Some defaults have a 10-day cure period, while others result in immediate termination. |
| Non-Compete Period | During the term of the franchise agreement and for a period of two (2) years after expiration or termination. |
| Non-Compete Details | Franchisees are prohibited from diverting, soliciting, or attempting to divert any business or customer of the franchisor, their Franchised Business, or any other franchisee within the Territory or a 20-mile radius. They cannot provide commercial cleaning and maintenance services to customers serviced by them or other franchisees within the previous 18 months, or perform any act injurious to the Marks' goodwill. This does not prevent competitive activities for customers not serviced by the system or offering non-janitorial services. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The Managing Owner (holding at least 50% ownership) must be in charge of directing the operations of the Franchised Business and must successfully complete the Brand Certification Program. Franchisees must participate in the day-to-day functions and are solely responsible for hiring, firing, scheduling, and supervising their employees, as well as complying with all employment laws. |
| Required Suppliers | Franchisees must use Stratus's private branded chemicals. Equipment and certain supplies must be purchased according to Stratus's specifications from approved vendors. A list of criteria for approved suppliers is available upon request. |
| Supply Restrictions | Franchisees must purchase all or nearly all inventory or supplies from the franchisor, its affiliates, or designated suppliers at prices set by them, which may be higher than elsewhere. Non-approved equipment, chemicals, and supplies require a 'Request for Approval' and testing by Stratus. If a customer specifies certain products/equipment, franchisees must use them if they comply with OSHA requirements. |
| Franchisor Revenue from Suppliers | SBS Franchising may derive revenue from purchases made by franchisees from suppliers with whom SBS Franchising has a business relationship, including rebates or other discounts. In its most recent fiscal year (ending Dec 31, 2024), SBS Franchising received approximately $3,854.57 in rebates from purchases of green cleaning chemicals from Nyco, representing about 0.0004% of its total revenues. Stratus of Westchester and Putnam Counties had no revenue from the sale of equipment, chemicals, supplies, insurance, or uniforms to Unit Franchisees in its most recent fiscal year, but may in the future. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | Stratus of Westchester and Putnam Counties may offer to finance a portion of the initial franchise fee and the Account Acquisition Fee. The initial franchise fee financing ranges from $4,000 to $69,000, with a down payment between $1,000 and $47,000. A promissory note is signed for the remainder, payable over three years in equal monthly installments at 12% interest per year, with no prepayment penalty. The Account Acquisition Fee can be financed via a 'sweat equity option' (monthly deductions from statements, no interest) or a 'loan option' (monthly installments over three years at 12% interest, no prepayment penalty). Default on financing can lead to acceleration of payments and termination of the franchise agreement. |
Stratus Building Solutions of Westchester and Putnam Counties Franchise Earnings — Item 19
Stratus Building Solutions of Westchester and Putnam Counties does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Stratus Building Solutions of Westchester and Putnam Counties does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Stratus Building Solutions of Westchester and Putnam Counties Litigation & Risk Flags
1 Pending Action ListedReview the full FDD for details on pending litigation.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Stratus Building Solutions of Westchester and Putnam Counties System Growth
Total Units
0
Franchised
0
Company-Owned
0
Stratus Building Solutions of Westchester and Putnam Counties currently operates 0 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 0 | 0 | 0 |
| 2023 | 0 | 0 | 0 |
| 2024 | 0 | 0 | 0 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Total Assets
$120K
Audited by Muhammad Zubairy, CPA PC for year ending December 31st.
Stratus Building Solutions of Westchester and Putnam Counties Franchise — FAQ
The total investment to open a Stratus Building Solutions of Westchester and Putnam Counties franchise ranges from $4,725 to $79,750, per their Franchise Disclosure Document. This includes the initial franchise fee of $3,600 to $69,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Stratus Building Solutions of Westchester and Putnam Counties charges a royalty fee of 5% of Gross Billings for the preceding calendar month or $50, whichever is greater. of gross sales, plus a 1% of Gross Billings for the preceding calendar month. No fee is currently imposed. contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Stratus Building Solutions of Westchester and Putnam Counties Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Stratus Building Solutions of Westchester and Putnam Counties to ensure you have the most up-to-date version.
Stratus Building Solutions of Westchester and Putnam Counties does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Stratus Building Solutions of Westchester and Putnam Counties has been franchising since 2025. The FDD shows an investment range of $4,725-$79,750, a 5% of Gross Billings for the preceding calendar month or $50, whichever is greater. royalty, and no Item 19 earnings disclosure. There are 1 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $3,600 to $69,000 and the total investment ranges from $4,725 to $79,750 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Stratus Building Solutions of Westchester and Putnam Counties and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Stratus Building Solutions of Westchester and Putnam Counties or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com